Market overreacting to changes in China, says DBS chief

Singapore

CHINA's slowing growth reflects economic and social reforms laid out as early as five years ago, and the short-term knock on Asia's economy during this transition can be absorbed by the region, DBS chief executive Piyush Gupta said on Thursday.

He told a conference organised by Milken Institute that the market has overreacted to changes in China, which have been a "one-on-one match" with policy prescriptions that include a move towards the consumption model.

The Chinese central bank has also laid out a blueprint for market liberalisation. "China has been doing exactly what people thought they should do. And even more, China has been doing what it said it would do," said Mr Gupta. "Problem is, most peopl…